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Use of temporary staff cost NHS £1.46 billion last year – report

Use of staff to cover nurse shortages cost NHS £1.46 billion last year, says Open University

The use of temporary staff to cover nurse shortfall cost NHS trusts £1.46 billion last year, a report published today claims.


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The report by the Open University (OU) states that the bill for temporary staff would be enough to pay the salaries of 66,000 newly qualified registered nurses.

A total of 146 NHS trusts responded to Freedom of Information requests from the OU, revealing that in 2017, for every extra hour worked by temporary staff, the NHS paid an average of 61% more than the hourly rate of a newly-qualified nurse in full-time employment.

Potential savings from employing permanent staff

Based on this difference in cost, the NHS could save an extra £560 million a year if current vacancies were filled with permanent staff, says the Tackling the Nursing Shortage report.

OU professor of nursing Jan Draper said: ‘The sector is facing challenging times. Relying on temporary nurses to plug gaps is just sticking a plaster over the problem, and costs considerably more than if vacancies were filled permanently.

‘We know that poor retention and low recruitment results in inefficiencies and ultimately puts patient care at risk, so it’s vital we look to a more strategic and sustainable approach.

‘Taking advantage of recently-introduced degree apprenticeships that offer flexible work-based learning is one solution, making use of funding already ring-fenced to pay for training while opening up new routes into the profession.'

‘A false economy’

RCN general secretary Janet Davies said the figures exposed the 'utter false economy' in current NHS staffing.

'Short-sightedness in recent years has left tens of thousands of unfilled nurse jobs, to the severe detriment of patient care. Workforce planning has been ineffective and dictated by the state of finances, not the needs of patients,' she said.

'It is proof that cost-cutting plans saved no money and, instead, increased agency costs, recruitment fees and the sickness absence bill through rising stress.

'It is a failure of politicians and policymakers to recognise the value of nursing. Ministers should look at these figures and demonstrate they have the political will to fix the shortages.'

Open University survey findings

A separate survey commissioned by the Open University of 500 nurses and healthcare support workers from the public and private sectors found:

  • 76% of registered nurses expect the shortage to worsen in the next 12 months and 61% believe even more temporary staff will be needed
  • 51% of nurses said funding cuts had a negative effect on nursing in their main place of work, while 39% admitted they have been personally affected by pay caps
  • Half of respondents said the nursing shortage in their organisations has worsened since the Brexit vote
  • 55% believe applications to nursing will fall as a result of last year's loss of the student bursary 
  • Three quarters of nurses said stress and burnout is a problem across their organisation
  • 69% believe clearer guidance and access to continuing professional development would improve staff retention
  • 46% of the nurses are happy in their current roles, and 71% feel that the nurse degree apprenticeship could help attract nursing students to the profession

 

Tackling the Nursing Shortage report


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